The head of digital assets at the investment company BlackRock, speaking at the Bitcoin Investor Day conference in New York, said that Bitcoin is more like a precious metal than a risky asset.
Robert Mitchnick mentioned the correlation of the first cryptocurrency with stocks, adding that historically the average long-term correlation was close to zero, and Bitcoin also had periods when the price fluctuated with the price of gold.
If you imagine the correlation graphs between gold and Bitcoin, they look extremely similar, assures the top manager of the investment company. Robert Mitchneck believes that Bitcoin has a fundamental macroeconomic variable that makes it similar to a security: the asset has short real interest rates and long inflation expectations.
Any investor should understand: it is for this reason that Bitcoin is not suitable for high concentration in a portfolio, since volatility, according to a BlackRock representative, becomes a huge risk factor. Whereas with a more modest concentration, the asset becomes another source of profitability and sometimes even a diversifier.
Earlier, Santiment analysts noticed an unusual trend in the crypto market, which signals a temporary stabilization of the value of Bitcoin on the verge of a major sell-off.
